(Kitco News) – The list of companies opting to hold Bitcoin (BTC) on their balance sheet continues to grow as the Canadian wellness and plant-based e-commerce firm Jiva Technologies announced that their board of directors has approved up to $1 million in BTC investments.
“As Bitcoin continues to gain traction as a widely accepted and trusted asset class, we see a unique opportunity to strengthen our treasury with a resilient and innovative investment,” said Lorne Rapkin, CEO of Jiva Technologies. “Bitcoin's inherent scarcity and finite supply position it as a modern hedge against inflation and a safe haven in times of economic uncertainty.”
Rapkin said that the company believes “Bitcoin aligns with our forward-thinking strategy and complements our mission to drive innovation across all aspects of our business. The potential for favorable regulatory frameworks and increased institutional adoption, highlighted by the recent wave of Bitcoin ETFs, underscores Bitcoin's value proposition and makes us believe it is an ideal asset for corporate treasuries seeking inflation-resistant stores of value.”
The push to add Bitcoin to company treasuries has been growing in recent months following the positive market response MicroStrategy (MSTR) has received for its Bitcoin endeavors, with the price of MSTR surging 377% since September as the stock rallied alongside BTC.
On Monday, MicroStrategy announced they had acquired an additional 55,000 Bitcoin for $5.4 billion, boosting their holdings to 386,700 BTC amid bullish institutional sentiment.
While adding Bitcoin to their diversified treasury strategy is intended to capitalize on this growing trend, Jiva Technologies said they remain firmly committed to their core operations. “This includes executing its previously announced joint ventures, driving growth in its plant subscription e-commerce platform, Bloombox Club, and continuing to develop its immersive wellness hub in Squamish, BC,” the press release said.
Moving forward, the company plans on monitoring its Bitcoin holdings closely, ensuring they align with market conditions and the company's cash flow requirements.
This is the second foray into the world of cryptocurrencies for Jiva Technologies, which announced a new joint venture with Kale Coin (KALE), an Ethereum-based cryptocurrency that is being created specifically for the wellness industry, on November 11.
Data provided by Google Finance shows that Jiva stock spiked 36.4% to $0.33 following the announcement regarding an investment in Bitcoin.
This allocation to Bitcoin by Jiva Technologies follows Monday’s announcement from video-sharing platform Rumble, which said they also plan to add Bitcoin to their corporate balance sheet, with its board of directors approving the strategy and allocating up to $20 million of the company’s excess cash reserves to BTC.
“This move emphasizes Rumble’s belief in Bitcoin as a valuable tool for strategic planning and is designed to accelerate the company’s expansion into cryptocurrency,” Rumble said in a statement.
“We believe that the world is still in the early stages of the adoption of Bitcoin, which has recently accelerated with the election of a crypto-friendly U.S. presidential administration and increased institutional adoption,” said Rumble Chairman and CEO Chris Pavlovski. “Unlike any government-issued currency, Bitcoin is not subject to dilution through endless money-printing, enabling it to be a valuable inflation hedge and an excellent addition to our treasury.”
Last week, biopharmaceutical company Hoth Therapeutics announced an allocation of up to $1 million to Bitcoin, highlighting its “inflation-resistant characteristics” and potential store of value.
“As Bitcoin continues to grow, gaining investor attention and acceptance as a major and primary asset class, we believe that Bitcoin will serve as a strong treasury reserve asset,” said Robb Knie, CEO of Hoth. “With recent approval of Bitcoin ETFs and increasing activity from institutional investors, it is a strong addition to our treasury strategy. We believe its inflation-resistant characteristics may make it a reliable asset as a functional store of value.”
And further highlighting the spike in institutional demand for Bitcoin following Trump’s re-election, artificial intelligence firm Genius Group announced on Nov. 18 that they successfully completed the purchase of 110 BTC for $10 million to add to their treasury reserve.
That purchase followed the Company’s previous announcement of its “Bitcoin-first” strategy in which it is committing 90% or more of its current and future reserves to be held in Bitcoin, with an initial target of $120 million in BTC. The $10 million in Bitcoin purchased since the announcement is the first in a series of ongoing purchases the Company intends to make towards its target.
